1. Euro Disney
Todd Pula, Laura Ruszczyk, Brenda Trodler, David O’Quinn, Raymond Walker
5/12/2019

2. Company Overview Todd Pula
5/12/2019

3. Disney’s Claim to Fame
Innovator in the animated motion picture industry
Leader in theme park entertainment
Vertically integrated company
Global competitor
Operations in California, Orlando, Tokyo, and Paris
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4. Disney’s Cycle of Success*
07/16/96
Disney’s Cycle of Success
Market New Products & Services
Produce New Movie
Customers Continue to Buy Products & Services
5/12/2019 *

5. Euro Disney’s Competitors
Tourist Attractions
Louvre
Eiffel Tower
Theme Parks
Euro Disney does not have any direct theme park competitors in Europe
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6. Strategic Direction Analysis
Strategic Problem
&
Strategic Direction Analysis
Laura Ruszczyk &
Brenda Trodler
5/12/2019

7. Strategic Problem Analysis
Disney failed to effectively analyze the external environment in which it attempted to compete
Disney did not recognize that economic and cultural differences existed between the U.S. and Europe
Disney simply copied its operations from the U.S. and Tokyo to Europe
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8. External Environment Analysis
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Demographic
Economic
Political/legal
Sociocultural
Technology
Global
5/12/2019

9. Euro Disney’s Problems
Visitor Spending - European visitors did not spend as much as American visitors
Result of exorbitantly high product, service, admission, and accommodation prices
Visitors would spend most of their time riding the rides
Cheaper to eat/stay in Paris than within the park
French Economy - The value of the French Franc increased
Cheaper for non-French visitors to travel to Orlando
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10. Euro Disney’s Problems Cont’d.
Cultural Imperialism - Disney failed to recognize the existence of cultural differences in Europe
Made financial projections based on American vacationing habits
Served American foods rather than local foods
Refused to sell cigarettes/alcohol
Required employees to act in ways that conflicted with their social customs
5/12/2019

11. SWOT Analysis David O’Quinn
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SWOT Analysis David O’Quinn
5/12/2019

12. Strengths & Weaknesses
Strong reputation and brand name
Ability to realize mistakes and to change
Financially sound
Phillippe Bourguignon
Weaknesses
Cultural imperialism
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13. Opportunities & Threats
Learn more about local culture & customs
Integrate local culture into theme park
Customize employee standards to the reflect local culture
Threats
High prices
Increasing value of the Franc
Employee dissatisfaction
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14. Solving Euro Disney’s Problems
Frenchman Philippe Bourguignon becomes President and Chairman
Customizes the theme park to match the local culture
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15. Euro Disney Update Raymond Walker
5/12/2019

16. Outlook Seven Additional screens added to Gaumont cinema.
Highlight new seasonal events and focus on affordability of a visit.
Strengthen the emphasis on the sale of transport inclusive packages
5/12/2019

17. What’s New At Euro Disney
New Entertainment programs and special festivals.
Opening of the Newport Bay Club.
Commercial real estate development of land around Euro-Disney.
A new suburban rail station.
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18. Five Year Financial Review
Sales (in millions) $ $ $ $ $954
Net Income (loss) (292) (869) (in millions)
Avg # of employees , , , , ,177
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19. Euro Disney Financial Update
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20. Financial Update Continued
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21. Thank You For Your Attention
5/12/2019